Mortgage "Brokers"

[atomic charvel guy]

When i said people skills, I should have been more thorough. I meant you learn how to headache people enough to the point where my customers would give me a p.o. for the day if I promised not to call them again for the rest of the day-lol

[Spivonious]

Mortgage brokers have been like this for a while though. They said I qualified for 150,000 home when I was bought my house in 98. I new I couldnt afford it so I didnt bite.

I hear ya. They said I could afford a 300,000 house a few months ago. My wife and I only make about $55,000 a year. We said "uh-huh" and looked for a house we could actually afford (<$200,000). It's odd because they don't make money off of foreclosures.

[joshulator]

Did I miss the part where people take responsibility for their own actions and don't take out loans that they can't afford? Am I the only one who uses a budget to figure this stuff out?
I certainly think mortgage companies have made lots of loans they shouldn't have, but they're shooting themselves in the foot. Where does that make them so evil (although that cold calling example seemed pretty underhanded)? If anything, I'm looking at the news and wondering what made people think that they could afford these loans in the first place.

[Jason1212]

It is all just a ship of fools. The mortgage companies trust third party brokers to get people into loans that will work for all parties involved. Mortgage brokers in most cases only look at the comission, the bigger the loan the bigger the payday. They get people into the biggest loan they can with as little effort as they can. They get people into adjustable rate loans that will become fixed rate at a later date. They dont tell them what will happen if the prime rate shoots up at the time that the rate becomes fixed. Hopefully they will put more regulations on these guys in the future to make sure there is a little be more integrity in that field.

[Joe_Steeler]

McDonalds is always hiring...

[fett]

Those guys won't even be able to get a job at a car lot. Consumers are going through a major anus tightening. Now, it's trickled down to "Buyers" intentions to buy a new car. They are not going there anytime soon.

[Shawn Lutz]

I think this will carry on to other lenders..primarily credit card companies.

While I agree with Joshuator that people should budget themselves but at some point you have to put in mix that the lenders are taking advantage of the enept borrower. Look how easy they make it for people to amass substancial amount of debt. I get pre-approved credit cars/loans in the mail everyday, all I have to do is disposit the 10 to 75k in my bank account. They are sending the same pre-approved loans to everyone including the same people who over extended themselves on their mortgages. I put these right in the paper shredder and I kid you not, I get 3-5 everyday out of my mail box. Another odd thing is my wife hasent worked since my son was born (stay at home mom for the last 13 years) but she gets the same pre-approved credit apps in the mail everyday too.

You can't put a full crack pipe in front of a crack addict and expect them to not take a hit.

[fett]

"Free" Credit for the last 20 years has made the US what it is today. The wheel has done a 180. It's back to being "Creditworthy". It's back to providing proof that you can take on the debt. It's back to a 20% down on a home purchase. It's back to reality. But, it is going to hurt like hell.

[Bert]

Not all are scum. My broker saved me a ton of cash by easily & cheaply getting me into a significantly better loan than my existing one whenever one became available.